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‡ Predictable science?

‡ Economic downturn

‡ What¶s really out there?

‡ Our environment
‡ What can we learn from science?

‡ Water finds its own level

‡ Equality has to be eventually


‡ Markets are never actually in equilibrium
‡ They merely approach it as opportunities are
exploited
‡ µCreative Destruction¶
‡ Killer apps
‡ Status quo v. Change
‡ Order v. Chaos
‡ Prescriptive v. Emergent
‡ Faced with change
± Rapid; Radical & Revolutionary

‡ Most Organisations won¶t


± Adapt; Alter & Amaze the market

‡ Instead they
± Deny; Deteriorate & Die
‡ Discuss the Red Queen theory
‡ Identify the meaning of a µJanus¶ trend
‡ List the eight Janus trends/paradoxes
‡ Explain how what is good is also bad
‡ Explain the difference between
: - Evolutionary change
: - Revolutionary change
‡ Red Queen Race
± Species have to "run" (evolve) in order to stay in the same place
‡ Red Queen Effect can be especially deleterious
when new rivals enter the market
± Incumbents struggle to improve efficiencies
± Upstarts and new entrants in existing markets
‡ Capture a niche
‡ Create new ones
± Rules of the games are changed irrevocably
‡ Strategists & Marketers must continually evolve
± To create change
± To respond to change
‡ Janus was the Roman god of
± Beginnings and endings
± Gates and doors
‡ Always represented with a double-faced head
± Each face pointed in opposite direction
‡ Transitions from
± Primitive life to civilization
± Countryside and city
± Peace and war
± Past and future
‡ Prosperity v. Poverty
‡ Free Markets v. Protectionism
‡ Population Growth v. Population Shortages
‡ Global Bliss v. Global Gloom
‡ Power of MNCs v. Fragility of MNCs
‡ Global Media Reach v. Media Fragmentation
‡ Enhanced v. Diminished Service
‡ Age of Brands v. Anti-Brand Era
‡ Growth in wealth
± More than 7.7 million globally hold more than U.S.
$1 million
± 236,000 millionaires in China, 61,000 in India
‡ Poverty and despair
±   2.7 billion people survive on less than $2 daily
±  (average income) 20% of world¶s wealthiest
population was 30 times higher than poorest 20%
±   It was 82 times higher!
‡ Huge rise in elective ‡ Preventable diseases that
surgery are three biggest killers of
children
± Facelifts
± Measles
± µBody¶ enhancements ± Malaria
± Liposuction ± Diarrhea
± Regular botox ‡ 30 million children are not
treatments immunized
‡ 6 million children under
age 5 die of hunger every
year
‡ Free markets
± WTO has 147 members representing 90% of world trade
± Average tariff has fallen from 40% to less than 4% since
1950
± Over past decade freight and communication cost have
declined sharply
‡ Growing protectionism
± EU agricultural tariffs remain at 20% restricting growth of
poorest countries whose exports are 70% agriculture
± United States enacts ³safeguard quotas´ against Chinese
textiles
± Ongoing row regarding Boeing and Airbus subsidies
between United States and the European Union
‡ 
 
± World¶s population has doubled from 3 billion to 6 billion in past 40
years
± By 2050
‡ World population expected to reach 9 billion
‡ World¶s 50 poorest countries will triple in population
± Five countries account for approximately one-half of the world¶s
population
± Population of five largest cities exceeded or almost matched majority
of world¶s nations (including geographically large nations such as
Australia and Canada)
‡ 
 
± 27 potential future members of European Union will experience 6%
decrease in population through 2050
± Current EU members will also experience declines
± Canada¶s Alberta province despite economic boom lacks enough
workers
‡ Global bliss
± Cultures and countries realizing
‡ Greater similarities than differences
‡ More to gain by cooperation than conflict
± Global brands
± Globally integrated production processes
‡ Multiple sources of origin on products
± Advances in logistics have lowered containerized transportation
cost
± Time boundaries all but eliminated ± Internet: Cell phones
± Regulatory boundaries fall as nations seek to increase trade
‡ Global gloom
± Many people feel
‡ Globalization is a bad thing
‡ Majority of the world¶s population is worse off
‡ Undermines the environment etc
± Anti-globalization protests accompany most major meetings of
political and business leaders
± Diluting of local cultures by global brands
‡ u
± Of 100 largest economies 51 are corporations, 49 are nation states
± Wal-Mart revenues > most economies of eastern Europe
± MNCs¶ powers increases due to mergers and acquisitions
± Strong emphasis on R&D
± Aggressive intellectual property protection
‡   
± Value chain exploitation can make smaller companies more
competitive
± Vulnerable to ³brand companies´
‡ Companies that outsource all activities except marketing of brand
‡ More flexible, no overhead cost or investment in major infrastructure
± Susceptible to activities of so-called ³hidden champions´
‡ Small-to-medium-sized firms with strong local presence
± Lack of adequate laws protecting intellectual property rights
‡ Patents
‡ Copyright protection
‡ Worldwide media reach
± ³Buying´new from CNN, SKY, BBC, extends smaller stations reach
± Global availability
‡ Fragmentation of media and audiences
± Advertising in video games
‡ Advertisers pay large sums for product placement
± ³U-commerce´
‡ Commerce that is ubiquitous, universal, unique, and in unison with
recipient
‡ M (or mobile)-Media advertisements to cell phones and other portable
devices
± Internet
‡ ³Podcasting´ anyone can be a broadcaster
‡ YouTube permits anyone to upload video and others to download content
‡ MySpace is a communications tool that also allows upload of video and
download of content
‡ Enhanced service
± Singapore Airlines
‡ Pampers business class passengers
± FedEx
‡ Guaranteed delivery
‡ Diminished service
± Demise of operated assisted calls in favor of direct dial
± ATMs in place of bank clerks
± Online statement retrieval in place of paper notification
± Customers don¶t always want delightful service²they want solutions
± Customers want
‡ Speed
‡ Efficiency
‡ control
‡ The age of brands
± Brand equity²value of a brand name
‡ brand recognition = brand equity
± Brand equity in not-for-profit firms
‡ Red Cross
‡ Amnesty International ³Free speech is
‡ Habitat for Humanity meaningless if the
‡ The era of the anti-brand commercial
cacophony has risen
± Anti-globalization movement to the point where no
± Dilution of local culture one can hear you.´
± Exploitation of foreign workers (No Logo: Naomi Klein)
Evolutionary Change ‡ Revolutionary Change

‡ Standardisation of ‡ Differentiation of
strategic approaches strategic approaches
‡ Centralised ‡ Decentralised
organisational organisational
design design
‡ Exploitation of ‡ Exploration for
innovations innovation
       
         

    
 
      
  
  
         
 
         
 
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